Business Financial Resolutions for 2021
There are many who can't wait to say goodbye to 2020, with the coronavirus pandemic and the ways businesses had to adjust to ensure their survival.
It is the perfect time to step back and plan activities that will lead to a more resilient, profitable, and growth-oriented business.
Make financial projections for the coming year.
Projections are the cornerstone of good financial management. Budgeting and Cash Flow Planning will help make sure you have the money you need to meet your expenses and achieve your goals. Using a spreadsheet, or other planning tool, estimate your cash inflows and outflows each month, including any planned investments and financings. Now, track your cash flow as the year unfolds and adjust to keep your business on track.
Tune up your strategic plan.
If you don’t have a strategic plan, it’s time to develop one. If you already have a plan, you should update it to taking into account any changes in your financial situation, important developments in your business or changes in your market.
Consult a trusted advisor.
If you don’t have an advisory board, consider hiring a trusted adviser to help you make better business decisions and develop a long-term vision for your business. It’s a proven way to get valuable outside advice on running your business at a very reasonable cost.
Get up to speed on online marketing.
By now, you are aware that your online presence has become your most important marketing tool whether you’re selling to consumers or to other businesses. Consider getting some outside help because many of the tasks—website design, content generation, social media, e commerce, search engine optimization, online ads, mobile compatibility—can be challenging.
Get your business processes down on paper.
If you’re like many entrepreneurs you hold a lot of knowledge about running your business in your head. But as your company grows you risk becoming a bottleneck and the largest impediment to your own success. One way to avoid that is by getting all that knowledge out of your head and down on paper in the form of standardized, repeatable procedures.
Business moves fast and having books that are reliable and accurate allows you to keep your edge in a competitive and busy world.
Scott Gray, CPA, CMA leads a full-service accounting practice based in Oakville, Ontario, offering a broad range of accounting services to meet the needs of businesses, entrepreneurs, and individuals in the Oakville, Burlington, and surrounding areas.